Syria and Saudi Arabia signed an agreement on Monday to protect and promote mutual investments in the latest sign of deepening relations between the two countries under the new Syrian administration.

What happened: The agreement was inked by Syrian Minister of Economy and Industry Mohammad Nidal al-Shaar and Saudi Minister of Investment Khalid bin Abdulaziz Al-Falih on the sidelines of a Saudi-Syrian roundtable meeting in Riyadh.

The two officials were cited by the Syrian state news agency as saying that the agreement was the culmination of ongoing efforts to build strategic partnerships and expand joint investments between the two countries. The deal aims to establish a favorable investment environment to ensure the protection of investments and facilitate a flow of capital that would contribute to the development of vital sectors including industry, services, infrastructure and tourism.

Speaking during the signing ceremony, Shaar described the agreement as a “qualitative shift” in Saudi-Syrian economic relations, noting that it paves the way for investment cooperation that serves the interests of both sides. He also praised Riyadh’s role in supporting Syria's economic recovery.